seperate account
- Thread starter DnT
- Start date
Second Personal Checking works well for me. I use U.S Bank Branches all over if I have to Hit a ATM Without anyfees.
Owner/Operator since 1979
Expediter since 1997
B Unit Semi Retired
Somedays are Diamonds and Somedays are Stones
Home is Wherever you Park.
Owner/Operator since 1979
Expediter since 1997
B Unit Semi Retired
Somedays are Diamonds and Somedays are Stones
Home is Wherever you Park.
Operating as a S Corporation I use 2 entirely different banks. One for the Corporation's business expenses which paid me a salary that went in to my personal bank. This way I could show to the IRS if necessary what was paid for business and what was paid out for personal expenses.
>I know its recommened to have a seperate account for
>expediting. I was just wondering what type of account that
>would be.Business account? Checking account? What type do
>you guys/ladies have?
Best to setup a business bank account with a bank you can or have developed a relationship with.
After all you are running a business, so having a business account gives your operation a little more credibility.
Hopefully you have taken the step to separate business from personal.
>expediting. I was just wondering what type of account that
>would be.Business account? Checking account? What type do
>you guys/ladies have?
Best to setup a business bank account with a bank you can or have developed a relationship with.
After all you are running a business, so having a business account gives your operation a little more credibility.
Hopefully you have taken the step to separate business from personal.
A S corporation is a Corporation that does not pay Corporate taxes such as GM,GE etc. A S corp passes the profits or loses directly to the shareholders which then use this profit or loss on their personal return. You do not need to be a S Corp even though there are tax advantages in being one.
I am preparing an article that I will send to EO for their magazine or home page about the advantages of being a S or LLC Corporation for a one truck operation. If you have a fleet with drivers it is imperative that you set up a shelter to protect your personal asests in case one of your drivers is at fault in a major accident. Should be done in a week or so.
I am preparing an article that I will send to EO for their magazine or home page about the advantages of being a S or LLC Corporation for a one truck operation. If you have a fleet with drivers it is imperative that you set up a shelter to protect your personal asests in case one of your drivers is at fault in a major accident. Should be done in a week or so.
Any local attorney or good paralegal can explain and set you up as S Corp. Sometimes it's not a good fit,best to talk to a CPA or Tax guy who knows transportaion. It's even possible to do it your self on line but talk to someone who knows what you want out of the business.
Sounds easy but it isn't,sometimes you can talk to 10 CPA's and get 5 positives and 5 negatives.
There is a very good tax guy on EO.His name is Frank Katz,he doesn't believe in S Corps for 1 truck operations. Over the years Frank and I have had several friendly discussions about the way to go. I would not neccessarily run to set up a Corp without giving it a lot of thought and getting as much pro and con advice as possible. The S Corp has worked well for me in my situation,perhaps yours may be different.
In 1996 the IRS audited our S Corp and us,having 2 different bank accounts to show business vs personal expenses was a big plus. One small thing I always do is when I get cash from the business accountfrom an ATM is to write on the receipt what the cash is used for,such as general road expenses or truck supplies etc. This helps a good deal as you are recording that you are not using the cash for your own personal needs.
Sounds easy but it isn't,sometimes you can talk to 10 CPA's and get 5 positives and 5 negatives.
There is a very good tax guy on EO.His name is Frank Katz,he doesn't believe in S Corps for 1 truck operations. Over the years Frank and I have had several friendly discussions about the way to go. I would not neccessarily run to set up a Corp without giving it a lot of thought and getting as much pro and con advice as possible. The S Corp has worked well for me in my situation,perhaps yours may be different.
In 1996 the IRS audited our S Corp and us,having 2 different bank accounts to show business vs personal expenses was a big plus. One small thing I always do is when I get cash from the business accountfrom an ATM is to write on the receipt what the cash is used for,such as general road expenses or truck supplies etc. This helps a good deal as you are recording that you are not using the cash for your own personal needs.
are12
Expert Expediter
>Paul56, I haven't started yet. Probably in 2 weeks. Don't
>you need to file for a business name,and tax ID at a
>county office to open a business account?
I know in PA we had to get a tax ID# but it is the state that assigns it. It was a simple phone call, they faxed me the paperwork, I filled it out and faxed it back. Within 15 minutes, they called and gave me the tax ID#.
We have a business checking set up at our local bank, along with a business savings acct and our personal acct. Plus we have TAB for fueling. I know it sounds complicated but it isn't. When we get paid, all the money goes into our business checking. Then I will call the bank and have them transfer money into our personal checking (we only allow a certain amount each week for us to live on), I will transfer money for fuel for the week and at the end of the month, when all is said and done, I will take at least half of what is left in the business checking, put it in the savings acct and pretend it is not there. That lets us know we have a cushion for when things get slow or if we should have a break down.
>you need to file for a business name,and tax ID at a
>county office to open a business account?
I know in PA we had to get a tax ID# but it is the state that assigns it. It was a simple phone call, they faxed me the paperwork, I filled it out and faxed it back. Within 15 minutes, they called and gave me the tax ID#.
We have a business checking set up at our local bank, along with a business savings acct and our personal acct. Plus we have TAB for fueling. I know it sounds complicated but it isn't. When we get paid, all the money goes into our business checking. Then I will call the bank and have them transfer money into our personal checking (we only allow a certain amount each week for us to live on), I will transfer money for fuel for the week and at the end of the month, when all is said and done, I will take at least half of what is left in the business checking, put it in the savings acct and pretend it is not there. That lets us know we have a cushion for when things get slow or if we should have a break down.
>Paul56, I haven't started yet. Probably in 2 weeks. Don't
>you need to file for a business name,and tax ID at a
>county office to open a business account?
I cannot advise you on the specifics of this in the US.
While at it, you might want to pickup a business VISA card as well. Just don't let debt ride on it month-to-month.
>you need to file for a business name,and tax ID at a
>county office to open a business account?
I cannot advise you on the specifics of this in the US.
While at it, you might want to pickup a business VISA card as well. Just don't let debt ride on it month-to-month.